Mayor Mamdani, City Council expand rental vouchers, cut back on cops in $126B budget deal

Key Points:

• Mayor Zohran Mamdani and the New York City Council reached a last-minute agreement on a $126 billion budget, resolving a key dispute over expanding a rental assistance program similar to Section 8 by allocating $175 million in the upcoming fiscal year and $125 million the following year.
• The budget includes a surprising cancellation of a planned NYPD expansion of 580 officers, with Mamdani confirming the police force will remain at 35,000 officers while addressing crime-fighting needs through new programs.
• The budget closes a projected $5.4 billion deficit without major austerity cuts or property tax increases, aided by state funding, delayed pension payments, and the introduction of a pied-a-terre tax on high-value non-primary residences.
• The Fair Fares program will expand eligibility to New Yorkers earning up to 200% of the federal poverty level, allowing approximately 340,000 additional low-income transit riders to access half-priced fares, though a proposed free fare program was not included.
• The budget settlement also ends a legal dispute over the Council's authority to expand housing vouchers, hailed by advocates as a significant win for New Yorkers facing eviction, homelessness, and shelter stays.